Rivals criticise Svenska Spel proposals for “better functioning gambling market” in Sweden

Other operators say the proposals would mainly benefit Svenska Spel.

Sweden.- The state-controlled gambling operator Svenska Spel has proposed “18 concrete solutions” for a better functioning Swedish gaming market and stronger protection for consumers. However, the proposals haven’t all gone down well with other operators.

The most controversial proposal is a new system of risk classification for gambling products. The operator says legislation should distinguish between forms of gambling with different levels of risk. High-risk gambling such as online casinos should be subject to stricter requirements, it says, including tighter marketing restrictions.

Another core proposal is stronger consumer protection measures for younger customers. Svenska Spel proposes that under 25s have stricter gambling limits and faster care interventions. It also proposes a ban on direct marketing to this age group.

Meanwhile, it proposes DNS blocking to shut out companies without a Swedish licence, arguing that the method has been shown to work in other countries. It also propose Examples from other countries show that blocking works.

Svenska Spel CEO Anna Johnson wrote in the business media outlet Dagens Industri: “Seven years after the reregulation, we are far from the goal of a safe gambling market. Young people and women are particularly vulnerable and growth is almost exclusively in high-risk games such as online casinos. This threatens both consumer protection and confidence in the regulated market.”

She added: “We know that gaming is a source of joy, excitement and community. But the market must be safe and sustainable in the long term. Our proposals show that there is an opportunity to turn the tide in order to protect the regulated market and consumer protection if the gaming industry, relevant authorities and legislators act together. 

“For over a hundred years, Svenska Spel has taken responsibility for ensuring that gaming is both safe and entertaining. We want to contribute to the gaming market developing in the right direction – where consumers are at the center and where we can protect both the pleasure and security of gaming.”

However, other operators have criticised the proposals. BOS, the Swedish Trade Association for Online Gambling, believes that the proposals would mainly benefit Svenska Spel to the detriment of other operators. Secretary general Gustaf Hoffstedt said that under the risk classification proposal, the state-controlled operator would still be able to advertise itself fully because it uses the same branding for all products.

“If Svenska Spel’s proposal were to go through, even greater market shares await unlicensed and illegal online casinos. It is a natural consequence if the legal licensed gambling companies are prevented or prohibited from marketing themselves and their products,” he said. 

He added: “Perhaps more should be demanded of the state-owned gaming company than to demand measures that commercially benefit its own operations and at the same time harm the goals of Sweden’s gaming policy decided by the Riksdag, under the guise of consumer protection.” 

Meanwhile, the Swedish government has proposed that the Gambling Act 2018 be amended to introduce a complete ban on gambling with credit. The move would represent an extension of the ban that currently exists on licensees providing credit for gambling.

Currently, gambling on credit is only banned if the credit is provided directly by a licensed gambling operator or their agents, which means that players can still gamble using credit obtained from other sources. The proposed law is intended to close this gap.